1. The products in perfect competition are heterogeneous 2. The seller in monopoly is a price maker

Question

State whether the following statements are true or false. Rewrite the statements if they are wrong. 

1. The products in perfect competition are heterogeneous 

2. The seller in monopoly is a price maker 

3. Price leadership is an important feature of oligopoly. 

4. Duopoly is a market situation in which two buyers buy the commodity 

5. Selling cost is the cost for producing the commodity.

Answer 1

1. False. Products in perfect competition are homogenous 

2. True

3. True 

4. False. Duopoly is a market situation in which two sellers supply the commodity 

5. False. Selling cost is the cost for selling or giving publicity for the commodity